Designing arcade machines with gesture-based controls presents several unique challenges. First, ensuring accurate and responsive gesture recognition is critical, as delays or misreads can frustrate players. Second, the physical design must accommodate a wide range of user movements while maintaining durability and safety. Third, developers must balance intuitive controls with complex gameplay mechanics to avoid oversimplification. Additionally, environmental factors like lighting and space can impact performance. Finally, creating a universally accessible experience for diverse players adds another layer of complexity. Addressing these challenges requires innovative engineering and user-centered design.